Rice exporters are currently contributing Rs 50 per tonne (every tonne of rice exported) under BDF and Rs 10 a tonne as a service charge to the Agricultural and Processed Food Products Export Development Authority (APEDA).

A cess on Basmati exports was imposed by the Commerce Ministry in the wake of attempts by a couple of foreign firms to grab India's claim to the world famous variety of rice.

"Now, the total corpus of the fund has grown to Rs 33 crore from initial fund of Rs 20 crore. It is lying with the APEDA and kept in various banks as fixed deposits," Mittal told Business Line, after the launch of "India Gate Classic" here on Friday.

"The APEDA will spend some amount for the marketing and promotion of basmati rice abroad by way of participation in the international trade fairs and exhibitions," said Mittal.

The BDF was set up in December 1995 and a watch agency was appointed in November 1996 to keep a worldwide watch for trademark applications for basmati rice. q